SAN DIEGO (February 9, 2020) — The Mortgage Bankers Association (MBA) released its year-end ranking of commercial and multifamily mortgage servicers’ volumes (as of December 31, 2019) here today at the 2020 Commercial Real Estate Finance/Multifamily Housing Convention & Expo.

At the top of the list of firms is PNC Real Estate/Midland Loan Services, with $702 billion in master and primary servicing, followed by Wells Fargo Bank, N.A.  ($700 billion), KeyBank National Association ($306 billion), Berkadia Commercial Mortgage LLC ($280 billion), and CBRE Loan Services ($228 billion).

Among servicers with retained or purchased servicing of U.S. mortgaged, income-producing properties, Wells Fargo, PNC/Midland and KeyBank are the largest primary and master servicers for CMBS, CDO or other ABS loans; PGIM Real Estate Finance is the largest for credit company, pension funds, REITs, and investment fund loans; Wells Fargo, Walker & Dunlop, and Berkadia are the largest for Fannie Mae loans; Wells Fargo, KeyBank, and PNC are the largest for Freddie Mac loans; Orix Real Estate Capital, Walker & Dunlop, and Berkadia are the largest for FHA & Ginnie Mae loans; JLL, NorthMarq Capital, and CBRE for life insurance company loans; and Wells Fargo for loans held in warehouse. PNC, Wells Fargo, and CWCapital Asset Management LLC are the largest named special servicers.

Wells Fargo, PNC, and PGIM Real Estate Finance are the top servicers for loans held in own portfolio, U.S. mortgaged, income-producing properties.

PNC, Berkadia, and SitusAMC are the top fee-for-service primary and master servicers of U.S. mortgaged, income producing properties; Wells Fargo, Trimont Real Estate Advisors, and KeyBank rank as the top master and primary servicers of other types of commercial real estate-related assets located in the U.S.; and Situs, CBRE, and Mount Street are the top primary and master servicers of non-US CRE-related assets.

A primary servicer is generally responsible for collecting loan payments from borrowers, performing property inspections and other property-related activities. A master servicer is typically responsible for collecting cash and data from primary servicers and then providing that cash and data, through trustees, to investors. Unless otherwise noted, MBA tabulations that combine different roles do not double-count loans for which a single servicer performs multiple roles. The tabulations can and do double-count across servicers’ loans for which multiple servicers each fulfill a role.

Specific breakouts in MBA’s 2019 Commercial/Multifamily Servicer Rankings survey include:

• Total Primary and Master Servicing;
• U.S. Mortgaged, Income-Producing Properties, Loans Held in Own Portfolio, Total;
• U.S. Mortgaged, Income-Producing Properties, Retained or Purchased Servicing, Primary & Master, Total
• U.S. Mortgaged, Income-Producing Properties, Retained or Purchased Servicing, Primary & Master, CMBS,  CDO or other ABS loans;
• U.S. Mortgaged, Income-Producing Properties, Retained or Purchased Servicing, Primary & Master, Commercial Bank and Savings Institution Loans;
• U.S. Mortgaged, Income-Producing Properties, Retained or Purchased Servicing, Primary & Master, Credit Company, Pension Funds, REITs, and Investment Funds Loans;
• U.S. Mortgaged, Income-Producing Properties, Retained or Purchased Servicing, Primary & Master, Fannie Mae;
• U.S. Mortgaged, Income-Producing Properties, Retained or Purchased Servicing, Primary & Master, Freddie Mac;
• U.S. Mortgaged, Income-Producing Properties, Retained or Purchased Servicing, Primary & Master, Federal Housing Administration (FHA) and Ginnie Mae;
• U.S. Mortgaged, Income-Producing Properties, Retained or Purchased Servicing, Primary & Master, Life Insurance Companies;
• U.S. Mortgaged, Income-Producing Properties, Retained or Purchased Servicing, Primary & Master, Loans Held in Warehouse;
• U.S. Mortgaged, Income-Producing Properties, Retained or Purchased Servicing, Named Special; Total;
• U.S. Mortgaged, Income-Producing Properties, Other Fee-For-Service, Primary and Master; Total;
• U.S. Other CRE-Related Assets, Primary and Master, Total; and
• Non-U.S. Total, Primary and Master, Total.

The report includes a ranking of more than 100 master and primary servicers. You can download the full report here:www.mba.org/documents/research/YE19ServicerRanking.pdf.

SAN DIEGO (February 9, 2020) — $163.2 billion of the $2.2 trillion (7 percent) of outstanding commercial and multifamily mortgages held by non-bank lenders and investors will mature in 2020, a 48 percent increase from the $110.5 billion that matured in 2019. That is according to the Mortgage Bankers Association’s (MBA) Commercial Real Estate/Multifamily Survey of Loan Maturity Volumes, released here today at the 2020 Commercial Real Estate Finance/Multifamily Housing Convention & Expo.

“Commercial and multifamily mortgage maturities will rise this year from the low levels of the last two years,” said Jamie Woodwell, MBA’s Vice President of Commercial Real Estate Research. “Given the long-term nature of many commercial mortgages, maturities remain muted, with just 7 percent of the total balance of non-bank-held mortgages maturing in 2020. This is particularly true for multifamily mortgages held or guaranteed by Fannie Mae, Freddie Mac and FHA, of which less than 2 percent of the outstanding balance will mature. Loans made by investor-driven lenders, such as mortgage REITs, debt funds and credit companies, tend to be shorter-term, which is why nearly one-quarter of the outstanding balance of those loans will mature in 2020.”

Added Woodwell, “This year marks the beginning of a ‘return to normalcy’ after the so-called ‘wall of maturities’ in 2016 and 2017, and the ‘trough of maturities’ in 2018 and 2019.”

The loan maturities vary significantly by investor group. Only $11.9 billion (2 percent) of the outstanding balance of multifamily and health care mortgages held or guaranteed by Fannie Mae, Freddie Mac, FHA and Ginnie Mae will mature in 2020. Life insurance companies will see $24.8 billion (4 percent) of their outstanding mortgage balances mature, and among loans held in CMBS, $67.2 billion (11 percent) will come due. Among commercial mortgages held by credit companies and other investors, $59.3 billion (24 percent) will mature this year.

The dollar figures reported are the unpaid principle balances as of December 31, 2019. Because most loans pay down principle, the balances at the time of maturity will generally be lower than those reported here. MBA’s survey covers $2.19 trillion of commercial and multifamily mortgages held or insured by life companies, Fannie Mae, Freddie Mac, FHA, CMBS trusts and other non-bank lenders and investors. Banks and thrifts hold an additional $1.4 trillion in mortgages backed by income-producing properties, which are not covered by this survey.

SAN DIEGO (February 9, 2020) — A 7 percent increase in commercial and multifamily mortgage originations in the fourth quarter of 2019 capped off what was a strong 2019 for the market, according to preliminary estimates from the Mortgage Bankers Association’s (MBA) Quarterly Survey of Commercial/Multifamily Mortgage Bankers Originations, released here today at the 2020 Commercial Real Estate Finance/Multifamily Housing Convention & Expo.

“Commercial and multifamily borrowing and lending hit a new high during the fourth quarter of 2019, surpassing the previous record from the second quarter of 2007,” said Jamie Woodwell, MBA’s Vice President of Commercial Real Estate Research. “A pullback in lending by Fannie Mae and Freddie Mac suppressed multifamily borrowing during the quarter, but growth for most other property types made up the difference. Initial indications are that 2019 set new records, with double-digit growth in mortgage bankers originations, as well as new highs in originations for banks and life insurance companies.”

Added Woodwell, “Low interest rates and solid property fundamentals should help 2020 continue the trend of record borrowing and lending.”

Originations climb 7 Percent in the fourth quarter of 2019

A rise in originations for industrial, office and health care properties led the overall increase in commercial/multifamily lending volumes when compared to the fourth quarter of 2018. There was a 67 percent year-over-year increase in the dollar volume of loans for industrial properties, a 33 percent increase for health care properties, a 29 percent increase for office properties, and a 13 percent increase for retail properties. Multifamily property loan originations decreased 4 percent, and hotel property lending fell 25 percent.

Among investor types, the dollar volume of loans originated for Commercial Mortgage Backed Securities (CMBS) increased year-over-year by 81 percent, 13 percent for commercial bank portfolio loans, and 9 percent for life insurance companies. The dollar volume of Government Sponsored Enterprises (GSEs – Fannie Mae and Freddie Mac) loans decreased 30 percent compared to the fourth quarter of 2018.

Fourth quarter originations up 15 percent from third quarter of 2019

On a quarterly basis, fourth quarter originations for industrial properties increased 58 percent compared to the third quarter of 2019. There was a 46 percent increase in originations for hotel properties, a 29 percent increase for retail properties, a 22 percent increase for office properties, and a 7 percent increase for multifamily properties. Originations for health care properties were unchanged from the third quarter.

Among investor types, between the third and fourth quarter of 2019, the dollar volume of loans for CMBS increased 56 percent, loans for life insurance companies increased 33 percent, originations for commercial bank portfolios increased 14 percent, while loans for the GSEs decreased by 17 percent.

2019 preliminary measure of originations indicate a 13 percent increase from 2018

A preliminary measure of commercial and multifamily mortgage originations volumes shows activity in 2019 was 13 percent higher than in 2018. By property type, originations for health care properties increased 92 percent from 2018, 50 percent for industrial properties, 23 percent for office properties, and 8 percent for multifamily properties. Retail property originations decreased 6 percent, and hotel properties saw a decline of 19 percent.

Among investor types, 2019 versus 2018, loans for CMBS increased 24 percent, originations for commercial bank portfolios increased 20 percent, and loans for life insurance companies increased five percent. GSE loans decreased 1 percent.